The daily Davis Index for billet in Raipur Monday surged by Rs600/mt ($8.91/mt) and settled at Rs35,000/mt ($473.67/mt) ex-works from Friday with some trades reported at index prices. Mills are bullish on steel demand in the upcoming month and prices are expected to rise further amid increasing input costs with higher scrap, sponge iron and pig iron prices in both international and domestic markets.
Pellet Sponge offers rise to Rs25,000/mt ($338.34/mt) ex-works Raipur with few takers at such high prices. The index for rebar rose by Rs600/mt to Rs37,600/mt ($508.86/mt) ex-works Raipur, however, finished steel demand remains moderate.
In Mumbai, the daily index for billet increased by Rs800/mt and settled at Rs37,500/mt ($496.34/mt) ex-works on restocking by the re-rollers and a rise in rebar prices. Many billet deals reported at index prices. The daily index for rebar rose by Rs600/mt at Rs40,900/mt ($545.03/mt) ex-works due to sustained demand amid a shortage of material in the market. Few steel mills opted to keep sales closed for the day amid high booking and low finished inventory.
In Mandi Gobindgarh, the daily index for ingot rose by Rs700/mt at Rs36,500/mt ex-works in line with the rise in local scrap prices while the index for rebar surged by Rs900/mt at Rs41,000/mt ex-works.